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Lady Elliot Island Eco-Resort's Transition to 100 Percent Renewable

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Lady Elliot Island Eco-Resort's Transition to 100 Percent Renewable Lady Elliot Island eco-resort’s transition to 100 percent renewable energy Dr Steve Carter1,2 Mr Robert Thomas1 Mr Peter Gash OAM1 1 Lady Elliot Island Eco-Resort, PO Box 348, Runaway Bay, Qld 4216. 2 University of Tasmania, Private Bag 37, Hobart, Tas 7001. *Corresponding author emails: [email protected] and [email protected] Griffith Institute for Tourism Research Report No 16 January 2020 ISSN 2203-4862 (Print) ISSN 2203-4870 (Online) ISBN 978-1-925455-96-0 Griffith University, Queensland, Australia 1 Peer Reviewer Professor Susanne Becken, Griffith Institute for Tourism About this report: This report presents an industry case study of the Lady Elliot Island eco-resort’s transition to 100 percent renewable energy. The transition started in 2007 and has proceeded over a period of over a decade during which the main drivers of energy demand and supply have changed significantly. The eco-resort has become steadily busier, electrical loads have changed, the island’s renewable energy infrastructure has been extended and improved, and a number of energy and power management initiatives have been implemented. The eco-resort’s daily energy demand and supply characteristics are settling down and detailed power supply and demand monitoring data are available. The eco-resort is now providing a more stable platform for follow-on research into various aspects of the island’s renewable energy system, but this report focuses on the story of how the eco-resort team overcame barriers to change, the problems encountered in operating renewable energy infrastructure in a remote and harsh environment, and the ways in which the eco-resort has improved its power and energy management practices to assist the transition. This report is published as part of the GIFT Research Report Series because it provides important insights and knowledge on tourism sustainability that will be of great use to other tourism stakeholders, both researchers and practitioners. Disclaimer: By using this information you acknowledge that this information is provided by the Griffith Institute for Tourism (GIFT). You agree to release and indemnify GIFT for any loss or damage that you may suffer as a result of your reliance on this information. The producing University does not represent or warrant that this information is correct, complete or suitable for the purpose for which you wish to use it. Acknowledgements: We thank Professor Susanne Becken for her help and guidance. The eco-resort’s transition to 100 percent renewable energy has also been assisted by funding and other support by the Great Barrier Reef Marine Park Authority; the Great Barrier Reef Foundation’s Reef Islands Initiative; and the Queensland Government’s Great Barrier Reef Island Resorts Rejuvenation Fund. Thanks to all. 2 Organisation involved: Lady Elliot Island Eco-Resort Lady Elliot Island is the southernmost island on the Great Barrier Reef. It is home to a small eco- resort that is served by small aircraft flying from Bundaberg, Hervey Bay and the Gold Coast. The eco-resort operates according to a strong sustainability imperative, managing the island for the benefit of future generations. © Griffith Institute for Tourism, Griffith University 2020 This information may be copied or reproduced electronically and distributed to others without restriction, provided the Griffith Institute for Tourism (GIFT) is acknowledged as the source of information. Under no circumstances may a charge be made for this information without the express permission of GIFT, Griffith University, Queensland, Australia. GIFT Research Report Series URL: www.griffith.edu.au/business-government/griffith-institute-tourism/publications/research-report- series 3 Executive Summary The Lady Elliot Island (LEI) eco-resort in the southern Great Barrier Reef operates under a lease from the Commonwealth of Australia and is managed according to a strong sustainability ethic. In 2005, the eco-resort’s lease passed to new owners who resolved to reduce its carbon footprint by breaking away from its reliance on diesel generators. Solar power is the most attractive renewable energy option for the eco-resort. The island’s wind energy potential shows it to be attractive for a small (< 20 kW) wind turbine facility but a wind turbine suitable for the island has not yet been found. Tidal and wave energy options were considered unacceptable for a variety of reasons. LEI management took a staged approach to the transition to renewable energy, since they had no experience of operating a solar facility or battery banks. They decided to establish a Hybrid Solar Power (HSP) station that integrated solar and diesel power generation and used batteries to store energy, with a control system tailored to the eco-resort’s situation. Following this first step, the transition to renewable energy would then take place over a period of years. A 2007 audit of the electric energy usage of the eco-resort led to an ongoing energy reduction program. The kitchen accounted for two-thirds of the energy usage and electric ovens were replaced with gas units to reduce the early morning and late afternoon peak power demand which was difficult for the HSP station to handle. The eco-resort’s solar power generating capacity has now grown to the point that the kitchen is about to return to using electric ovens. Modifications to the desalination plant allowed it to meet the eco-resort’s daily freshwater requirements within day time hours, and the freshwater storage capacity was doubled so the freshwater storage tanks act as additional batteries and enable the eco-resort to avoid using the desalination plant on cloudy days when solar power generation is reduced. Similarly, extra air compressors and air storage cylinders were added to the eco-resort’s dive operations, allowing the power-hungry compressors to be operated mainly during periods of peak solar power generation. The extra stored compressed air reduces the need to run the compressors on cloudy days, and SCUBA air tanks can be filled more quickly than before. Within two years the eco-resort estimated that it had reduced energy demand by 24 percent, which sends a clear message that energy reduction initiatives applied to a facility that hasn’t paid much attention to such things can make a substantial difference in a short period of time. Barriers to change were: Funding. The island’s renewable energy infrastructure has cost $2 million over the past decade, well beyond what the eco-resort could have afforded in 2007. Complexity. An HSP station is much more complicated than either stand-alone generators or stand-alone solar panels. Practical knowledge. The eco-resort realised a substantial learning curve had to be overcome. People who operate equipment in a remote location must learn how it works and service it themselves to the extent possible. Maintenance. Equipment in a harsh environment can need specialist maintenance. Spare parts from overseas suppliers need to be available. 4 The eco-resort employed a number of strategies to help overcome these barriers to change, in addition to energy demand reduction initiatives. • An initial HSP station was designed that was affordable and paid for itself quickly through reduction in diesel fuel usage. The cost of doing nothing made this an attractive proposition. • The eco-resort took small steps, regularly adding solar panel arrays and improving power and energy management. This minimised the consequences of problems. • The eco-resort installed a number of separate and relatively small solar panel arrays instead of a fewer number of larger arrays, to minimise the consequences in the event an array experienced a problem and had to be taken off line for some reason. • The eco-resort shared knowledge with others, a very helpful two-way street. • The eco-resort invested in making several of the team renewable energy specialists. • The eco-resort team had faith in itself. A can-do attitude is essential to change. The key components of an HSP station are solar panels, inverters, a generator, battery banks, and a control system to manage the power supply and demand. This report describes the HSP station when it was commissioned in 2008 and describes the additional renewable energy equipment installed through to late 2019. At that time the eco-resort had a solar generating capacity of 165 kW at 1,000 W/m2 of solar radiation, plus stand-alone solar hot water units. In October 2019, the daily solar energy production varied from 629 to 937 kWh and the average was 813 kWh. The daily eco-resort energy demand varied from 553 to 831 kWh and the average was 721 kWh. The eco-resort only ran the HSP station’s generator on two days in this month, which is approaching peak tourist season. This report also discusses the problems encountered during its transition to renewable energy. The solar panels have performed well, with few operational problems. One lesson learned was the importance of orientating some solar panels to catch the early morning and late afternoon sun, smoothing out the power production and the longer solar window meaning less reliance on batteries. The generator had some problems relating to it being used less often, an example being failure of the alternator because its wiring insulation absorbed moisture from the air. The eco-resort encountered a number of control system problems. Some were avoidable and due to inexperience on the part of the eco-resort team, other problems required software fixes or work-arounds. The batteries have been the worst performing component of the HSP station, with some batteries needing to be replaced much sooner than expected. Batteries not being charged properly is the single biggest issue seen by the eco-resort when liaising with operators of other renewable energy systems. The eco-resort draws down the battery banks by 30 percent each night as the best balance between battery use and life time, although drawing down batteries by more than 20 percent voids their warranty.
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